Commodities
Saudi Pipeline Shut Down Amid Wider Middle East Conflict
A drone attack has forced Saudi Arabia to shut down its East-West pipeline, which supplies around 4-5% of global crude oil. The 1,200-kilometer pipeline was hit in the Riyadh and Medina regions on Thursday morning, causing some injuries and damage.
The attack is part of a widening Middle East war, with Iran-backed militias operating in Iraq where the drone originated. The Saudi energy ministry said it had shut the pipeline as a precaution, but did not detail the impact on exports.
The closure comes as Houthi rebels in Yemen tightened their grip on the Red Sea, leading to disruptions in shipping and a further squeeze on global oil supplies. The Strait of Hormuz has also seen reduced tanker traffic due to tensions between the US and Iran.